If your company is depending on a busy shipping department for export compliance you may be at risk. Let shippers do what they do best by moving the freight. Export compliance should be a front end and not a back door process.
While risk management always gets C-level attention, export compliance is often a mid-management or lower level function. Fines and penalties for violations are significant enough to make export compliance a basic part of risk management. Violations of the Export Administration Act (EAR) may be subject to both criminal and administrative penalties. Criminal penalties can reach 20 years imprisonment and $1 million per violation. Administrative monetary penalties can reach $11,000 per violation and $120,000 per violation in cases involving items controlled for national security reasons. Violations are posted on the Bureau of Industry and Security (BIS) website which makes adverse publicity a deterrent for any corporation. In addition, compliance issues can expose companies to regulatory scrutiny by government agencies, including Customs and Border Protection (CBP) and Departments of State, Commerce, and Treasury.
Contact firstname.lastname@example.org for help with compliance.